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8/28/24

Clarification regarding - Grant of notional increment (as due on 1st July/1st January) for the pensionary benefits to those employees who had retired on 30th of June before drawing the same

MOST IMMEDIATE COURT CASE MATTER

GOVERNMENT OF INDIA 
MINISTRY OF RAILWAYS 
(RAILWAY BOARD)

No. PC-VI/2023/Misc./03-Vol.Il

New Delhi, dated: 27.08.2024

The General Managers/ Principal Financial Advisors, All Zonal Railways & Production Units

Sub: Grant of notional increment (as due on 1st July/1st January) for the pensionary benefits to those employees who had retired on 30th of June before drawing the same - Clarification reg.


A number of references are being received in Board's office from various field units seeking necessary instructions/ guidelines regarding further course of action to be adopted in fresh cases being filed by various retired employees on the issue of grant of benefit of notional increment for pensionary purpose.

2. In above context, it is stated that based on the advice tendered by DOP&T, all field units were advised vide Board's letter dated 09.02.2024 to implement the orders pronounced by various courts of law granting the benefit of notional increment strictly on personam basis, only in those cases where a contempt petition has been filed by the petitioner. As regards to other cases, the matter may be referred to Board's office invariably for further clarification which will be issued separately on receipt of necessary guidelines from DOP&T.

3. Subsequently, it was also clarified vide Board's letter dated 20.05.2024 that while implementing the orders pronounced by various Courts/ Tribunals on "personam basis only in contempt cases, payment of arrears would be restricted only to 3 years preceding the date of filing of the case in light of Hon'ble Supreme Court's judgment dated 13.08.2008 passed in Civil Appeal No. 5151-5152 of 2008 titled as Union of India & Ors Vs Tarsem Singh.

4. In continuation to above, after prolonged consultation with the nodal department on the issue of notional increment i.e. DOP&T; a detailed clarification has already been issued to all Zonal Railways/PUs vide Board's letter dated 21.08.2024 (copy enclosed) along with a draft Misc. Application/ Affidavit to be filed before concerned judicial forums in fresh cases being filed on the issue of notional increment. Accordingly, all the field units may be advised that further action in such cases may be taken based on the detailed guidelines circulated vide Board's aforesaid letter.

5. Subsequent to issuance of guidelines vide Board's letter dated 21.08.2024; various queries have been received seeking clarity on the course of action to be adopted. Considering these requests, all the Zonal Railways/PUs are hereby advised to adopt following course of action in cases related to notional increment:

(i) In fresh cases (O.As/W.Ps) counter reply may be filed based on the draft affidavit
circulated vide Board's letter dated 21.08.2024.

(ii) Interim stay may kindly be granted on implementation of the orders pronounced by the Hon'ble Court/ Tribunal till the aforesaid Review Petition and Intervention Application filed by the nodal department viz. DOP&T are adjudicated by Hon'ble Supreme Court and the issue of notional increment attains finality.

(iii) The instant O.A./W.P. may be adjourned sine die and a final decision thereon may only be taken after the aforesaid Review Petition and Intervention Application filed by the nodal department viz. DOP&T are adjudicated by Hon'ble Supreme Court and the issue of notional increment attains finality.

5. In this regard, a draft Misc. Application/Affidavit is attached herewith for finalizing the same and filing before the concerned Tribunal/ Court in consultation with the contesting Railway Counsel. This may kindly be accorded Top Priority. Action taken in the matter may also be apprised to this office.


(Sundeep Pal)

Executive Director, Pay Commission Railway Board

Tel. No. 011-47845117

Email add: sundeep.p@gov.in 

4th floor, Room No. 7
COFMOW Building, 
Railway Offices Complex, 
Tilak Bridge, New Delhi-110002






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